By Andy Westby | Goldmark Commercial Real Estate | President / Managing Broker / Auctioneer
In commercial real estate, there are a lot of ways to bring a property to market. One of the most overlooked, but incredibly powerful, is the auction method. As a licensed auctioneer in North Dakota and Minnesota and someone who grew up in a family auction business, I have seen firsthand how auctions can create urgency, competition, and market value clarity. And while auctions are certainly not the right fit for every property, they can be a smart option that more owners should consider.
Where Auctions Can Work
While not every commercial property is suited for auction, the right ones can generate strong competition, drive pricing, and deliver fast, definitive results. Auctions are especially effective for high-demand, low-supply assets, such as ag land, trophy multi-family investments, fully leased NNN retail centers, or strategic industrial sites. These examples are where market scarcity fuels bidder interest. They also offer a smart solution for properties that must sell quickly due to bank requirements, estate settlements, or family-related decisions. Additionally, auctions shine in cases where traditional valuation is difficult, like redevelopment sites, or unique properties with few comparable sales. In these scenarios, letting the market speak is often the best way to unlock value.
Auctions Create Urgency
With the right property, one of the biggest benefits of an auction is the fixed timeline. Everyone knows the date, and that countdown creates action. Traditional sales can drag on for months or even years. An auction sets a deadline that can motivate buyers to act now or miss out. That kind of urgency simply doesn’t exist in a typical listing.
Competitive Bidding Drives Value
When multiple qualified buyers compete for a property in real-time, it brings the true market value to the surface. I’ve seen auctions exceed seller expectations more than once because buyers emotionally engage when they know there’s competition. The auction process removes the guesswork and lets the market determine price.
Transparency Builds Trust
Unlike traditional negotiations that can feel opaque or drawn out, auctions are straightforward. Everyone sees the same terms, the same bidding process, and the same chance to win. That transparency helps build trust with buyers and removes a lot of the back-and-forth tension that can sink deals.
Seller Control Stays Intact
One of the common misconceptions is that sellers lose control in an auction. That couldn’t be further from the truth. Sellers set the terms, choose the date, and can even set reserve prices to protect their bottom line. You’re not handing over the reins, you are just structuring a smarter playing field.
The Right Marketing Makes the Difference
A successful auction doesn’t just happen. It requires targeted, high-impact marketing that gets the right buyers in the room (or online). That’s where my background in tech and my work at Goldmark Commercial come together. We use data, digital tools, and relationships to amplify exposure and attract maximum exposure to find the serious bidders.
Auctions for Nonprofits: A Bonus Benefit
Beyond commercial deals, I also use the auction format to help nonprofits raise money. There’s something special about using this skill to support the community. Whether it’s a charity dinner or a benefit event, the same principles apply…create urgency, build excitement, and deliver results.
Is an Auction Right for You?
It depends. But if you’re looking to sell land, settle an estate, or move a unique property with a firm deadline, it’s worth a serious look. Auctions bring energy and certainty to a process that’s often slow and unpredictable.
If you have questions about whether an auction might be a good fit for your property, give me a call. I’d be happy to walk through the pros and cons and help you make an informed decision. There’s more than one way to get a deal done, and sometimes, the fastest way is also the smartest.
⬇️Check out this testimony from an auction right here in Fargo. ⬇️
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